Our Top 10 Most-Read Stories of 2019: Which Did You Miss?
Did you miss any of our insightful content in 2019? No worries if you did; here’s a recap of our 10 most read stories over the past year – just click on the headline!
For financial professionals, independent external audits of GAAP financial statements are an inescapable reality. For for many fast-growing private companies, it’s a necessity to meet the demands of lenders, VCs and other stakeholders. There is even a possibility the IRS could require a financial statement audit as part of a broader tax audit.
Summer can be an unpleasant time along the Gulf Coast for many reasons: sweltering heat, mosquitoes and the bigger problem of hurricanes. Somewhere in the back of your mind is the never-ending question, “I wonder how hurricane season will turn out this year?” Trying to run a successful business and throwing a storm in the mix can make for a bad situation. Fortunately, basic preparation before or shortly after the season begins can help mitigate problems should disaster strike.
Most private companies are now required to adopt the new accounting standard ASU 2016-02, Leases (Topic 842) for reporting periods beginning after December 15, 2019. For companies with a December 31 year-end, that reporting period will be January 1 through December 31, 2020. This update will result in placing most operating leases with terms longer than a year onto a company’s balance sheet.
Reports show there are between 500,000 and 700,000 identify theft incidents per year, and the recent high-profile information breaches at CapitalOne and Equifax are reminders to always monitor your processes to secure information on yourself and your clients.
With remote workers becoming more commonplace during the current gig economy, the home office deduction has become more relevant than ever. Here are some things the IRS points out to help taxpayers understand the home office deduction and whether they can claim it.
Whether you are the insured, the insurer, the adjuster or a consultant, business interruption insurance is one of the most complicated coverages to write and interpret. Despite the fact business interruption insurance dates back more than two centuries, it is typically one of the most misunderstood of coverages.
Partnerships and partners take note: the IRS has changed the way you are audited, and it may impact your 2018 tax return. Under the old rules, partnership items were examined at the partnership level, but assessment and collection was pursued at the partner level. Under the new regulations issued December 21, 2018, the assessment and collection of taxes related to a partnership audit will occur at the partnership level unless the partnership elects out of the new audit and collection regime.
Here’s an ugly truth: about 40-50 percent of marriages in the United States will end in divorce, according to the American Psychological Association. And the divorce rate among those who remarry is even higher. Add to that a statistic from a 2016 National Endowment for Financial Educations survey that found two in five Americans who have combined their finances in a current/past relationship admit to committing financial infidelity against their partner.
529 Plans, more commonly known as college savings plans, have been around for a while. There is no federal tax deduction, the money grows tax deferred and, as long as the money is used eventually for qualifying college expenses, you don’t pay any tax when the money is used.
Quality has never been more important as individuals and businesses seek the most accurate financial information to make the most informed decisions possible. That’s why the American Institute of Certified Public Accountants requires CPA firms offering audit and attestation services to undergo an in-depth peer review every three years to ensure the highest quality standards are being followed in all phases of audit delivery.
About Ericksen Krentel
Ericksen Krentel CPAs and Consultants, founded in New Orleans, Louisiana in 1960 with offices in New Orleans and Mandeville, believes that serving as the clients’ most trusted adviser is grounded in going beyond the numbers.
That includes helping clients achieve their business and personal financial goals by providing innovative and exceptional services in the following areas: audit and assurance services, tax compliance and planning, outsourced CFO services and business valuations for a variety of industries; employee benefit plan audits; fraud and forensic accounting; business planning; IT consulting; loss calculations; and estate planning.
Learn more at www.ericksenkrentel.com.